Li Auto CEO Accuses Rival of Orchestrating Black‑PR Attack on Mega SUV and Announces Legal Action

The controversy erupted on March 2, when users on the news aggregator Toutiao began circulating heavily altered images of the MEGA. One account, known as “成熟小猫,” posted pictures that tagged the vehicle as a “new‑energy funeral car” (新能源殡仪车) and added ominous characters such as “奠,” suggesting that the model was a death sentence for the brand. Within days, the derogatory tag “奠车” started to appear alongside the car’s name on social media, threatening to cement a negative association in the public mind.

On March 11, Li Xiang broke his usual silence on Weibo and posted to his WeChat Moments, accusing an organized “black PR” operation of orchestrating the attacks. He named a rival brand and a professional “water army” – a network of paid internet trolls – as the forces behind the smear. The CEO’s comments suggested that the coordinated effort was not a spontaneous outburst but a deliberate, possibly illegal, campaign to sabotage Li Auto’s launch. The fallout was evident: sales of the MEGA fell short of expectations, and Li’s own online presence went quiet for more than twenty days, an unusual retreat for the man often dubbed the “King of Weibo.”

The narrative continued to unfold throughout March. By the 21st, commentators warned that the “funeral‑car” label could become a permanent blemish on Li Auto’s brand image. Even as the company tried to steady sales, Li Xiang’s silence on the mainstream platform deepened concerns that the black‑PR onslaught was having a lasting impact.

Fast forward to early August, and the dispute resurfaced with renewed vigor. In a 45‑second clip posted on Douyin, Li Xiang reiterated that Li Auto has identified the specific competitor and the “water army” agencies responsible, but he declined to name them. He stressed that Li Auto would not retaliate with its own smear tactics, insisting the company would “stay true to its principles” rather than “blacken” itself. Simultaneously, Li Auto announced that it had secured evidence and would pursue legal action against the perpetrators. Product‑line head @老汤哥Tango added weight to the claim by publishing chat logs from part‑time groups allegedly involved in the slander.

The latest accusations extend beyond the MEGA saga. Recent rumors allege that the same shadowy network has interfered with sales of the LeDao L90, spread claims that Li Auto owners are “low‑quality” or prone to illegal parking, and generally sought to tarnish the brand’s reputation at each new model launch. The consistent thread in all of these incidents is the involvement of professional troll farms, indicating a systematic approach rather than isolated grievances.

Public reaction on China’s largest micro‑blogging platform, Weibo, has been a blend of curiosity, skepticism, and support. Many commenters pressed Li Xiang for proof, urging the CEO to hand over his “sky‑eye system” data to the police or to file a formal complaint. Others recognized the tactics as old‑school but effective, noting that such underhanded methods are well‑known in the hyper‑competitive EV sector. A portion of users voiced sympathy for Li Auto, applauding the CEO’s restraint and his refusal to stoop to the level of the attackers. Some even observed a shift in Li Xiang’s public persona: from the brash, outspoken “King of Weibo” to a more measured, magnanimous leader. A few technical voices suggested that “GEO optimization” could help cleanse the data pollution caused by the coordinated negative campaign.

The episode shines a light on broader issues within China’s rapidly expanding new‑energy vehicle market. If rivals can enlist professional troll farms to weaponize social media, the playing field tilts away from genuine product innovation toward a battle of narratives. For consumers, the flood of manipulated content makes it harder to discern fact from fiction, eroding trust not only in individual brands but also in the digital information ecosystem as a whole. Li Auto’s decision to pursue legal recourse rather than mirror the attacks raises questions about corporate ethics in a climate where retaliation often takes the form of further misinformation.

Regulators, too, may feel the pressure. Persistent black‑PR campaigns challenge the fairness of competition that the government seeks to promote, potentially prompting tighter oversight of online advertising, content moderation, and corporate disclosure. While Li Xiang’s statements have not yet named the offending brand, the very admission that a competitor is willing to weaponize a “water army” against a rival could spur industry‑wide calls for clearer rules and stronger enforcement mechanisms.

For now, the spotlight remains on Li Auto as it prepares to file lawsuits and present its evidence. The company’s resolve to fight the smear campaign without descending into similar tactics offers a case study in how firms might defend their reputations in an era where the battlefield has moved from the showroom floor to the endless stream of social‑media posts. Whether this approach will restore the MEGA’s standing, or even shift the culture of online competition in China’s EV sector, remains to be seen. What is clear, however, is that Li Xiang’s assertion that he knows the brand behind the attacks has turned a private grievance into a public debate about the limits of corporate warfare, the integrity of online discourse, and the future of fair competition in an increasingly connected market.